In a bid to improve post trade clearing services, remove bottlenecks and improve transparency, SEB Futures has overhauled its exchange-traded derivatives service platform and signed up to the Traiana Harmony network.
More than 500 financial market participants use the Traiana Harmony network, which is owned by the ICAP brokerage, for standardised messaging and processing of foreign exchange (FX), cash and equity derivative trades and on exchange-traded derivatives – where SEB Futures is initially introducing it. The aim is to give SEB Futures’ clients access to a centralised real-time view of the trade lifecycle, right from execution to settlement, thereby strengthening risk management, reporting and decision-support processes.
Using Traiana Harmony, SEB addresses the issue of dealing with multiple counterparties. It streamlines several post trade processes including allocations, reconciliations, average pricing, give ups and confirmations for listed derivatives and FX. The result should be that SEB Futures can now execute post trade processes in real-time, ensure prompt identification of mismatches and provide a seamless clearing process.
“This major advance gives us the ability to communicate quickly and effectively post trade with a range of counterparties,” said Fredrik Wingren, head of execution at IPM, a Stockholm-based systematic investment manager that is one of the launch clients. “The extra visibility this service brings us significantly enhances our decision-making and risk management capabilities.”
According to Jim Chrystal, co-founder of Traiana, the firm is, “delighted to be working with SEB Futures. There’s growing demand for cross-asset client clearing, and firms like SEB are setting a new standard for client servicing by using Traiana Harmony.”